Homes England has announced a new funding programme worth at least £27.3bn to deliver social and affordable housing outside London.
Set to run from 2026 to 2026, the Social and Affordable homes programme aims to support the government’s commitment to deliver 1.5 million homes, with a particular focus on homes for Social Rent.
The programme mandates that at least 60% of all funded homes must be delivered at Social Rent levels, which are typically lower than Affordable Rent and based on local incomes and property values.
The funding package includes £1.2bn in bridge funding announced in March 2025 and is open to a diverse range of organisations including registered providers, local authorities, housebuilders, developers, charities and community-led organisations. Applicants can bid individually or form consortiums and strategic partnerships to access the funds.
The programme supports various types of housing development beyond standard new-build homes. This includes specialist and supported housing for older, disabled or vulnerable people, rural housing in settlements with populations under 3,000, traveller pitches, community-led housing, and the regeneration of existing social housing estates.
Six Established Mayoral Strategic Authorities, including Greater Manchester, West Midlands and West Yorkshire, will have influence over strategic direction, shaping tenure mix and identifying priority sites. All partners will need to demonstrate how their proposals address local housing needs and align with both national and regional priorities.
To qualify for Strategic Partnership status, most organisations must commit to delivering at least 1,500 homes by March 2036, with an initial funding cap of £250 million. Local authorities and specialist housing providers face a lower threshold of 800 homes. The programme’s most ambitious tier, Strategic Partnership Plus, requires delivery of at least 4,000 homes and offers funding caps up to £700 million.
All homes must start construction by March 2036 and complete by March 2039, subject to budget availability. The programme prioritises early delivery, with particular emphasis on completions by March 2029 to meet the government’s parliamentary commitment.
Bidding is expected to open in February 2026, pending completion of subsidy control compliance processes with the Competition and Markets Authority. Partners interested in applying can contact Homes England for preliminary discussions about potential bids.
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